Sandvik concludes additional agreement for delivery of steam generator tubes and expands production capacity

Sandvik concludes additional agreement for delivery of steam generator tubes and
expands production capacity

Sandvik Materials Technology has concluded an additional multi-year supply
agreement for steam generator tubes for the nuclear power industry. The
agreement is valued at SEK 1.5 billion and deliveries are scheduled to commence
in 2012 and continue through 2014.

The customer is the Chinese company Harbin Electric Corporation (QHD) Heavy
Equipment Company Ltd and the steam generator tubes will be used in nuclear
power plants in China.

As a consequence of this agreement and the very high demand from the nuclear
power industry, Sandvik's Board has approved a further expansion of production
capacity for steam generator tubes. This will take place at Sandvik Materials
Technology's plants in Sweden and the Czech Republic.

“The investment further strengthens Sandvik's position as a leading supplier of
steam generator tubes for the rapidly growing nuclear power industry. Including
the order from Harbin Electric, we have signed supply agreements for a total
value of SEK 8 billion in this area since the beginning of 2009,” says Peter
Gossas, President of Sandvik Materials Technology.


Sandviken, 3 February 2010

Sandvik Aktiebolag (publ)


Sandvik AB discloses the information provided herein pursuant to the Securities
Markets Act and/or the Financial
Instruments Trading Act. The information was submitted for publication at 09:30
a.m. on 3 February 2009.

For further information, contact Peter Gossas, President of Sandvik Materials
Technology business area,
+46 26 26 36 28 or Jan Lissåker, Vice President Investor Relations, Sandvik AB,
+46 26 26 10 23.

Sandvik is a global industrial group with advanced products and world-leading
positions in selected areas - tools for metal cutting, equipment and tools for
the mining and construction industries, stainless materials, special alloys,
metallic and ceramic resistance materials as well as process systems. In 2009,
the Group had about 44,000 employees and representation in 130 countries, with
annual sales of nearly SEK 72,000 M.

Sandvik Materials Technology is a business area within the Sandvik Group and a
world-leading manufacturer of high value-added products in advanced stainless
materials, special alloys, metallic and ceramic resistance materials, as well as
process systems. Annual sales in 2009 were about SEK 15,000 M with 8,200
employees. The product area comprises Tube, Strip, Kanthal, Process Systems and
MedTech.